Ramprastha Group Directors Held by ED in ₹1,100 Crore Homebuyer Fraud Case

The Enforcement Directorate (ED) has taken into custody Sandeep Yadav and Arvind Walia, who are the key promoters and majority shareholders of Ramprastha Promoters and Developers Pvt Ltd, as per news reports. The arrests were made under the Prevention of Money Laundering Act (PMLA) following early morning raids conducted by the ED's Gurugram zonal office at multiple locations in the National Capital Region.

Allegations of Financial Misconduct

As per news reports, the ED alleges that the company raised approximately ₹1,100 crore from over 2,000 homebuyers for several residential projects, including Project Edge, Project Skyz, Project Rise, and Ramprastha City (a plotted development). Despite collecting significant funds, the company reportedly failed to deliver possession of flats and plots, even after a delay of 15 to 20 years.

Ongoing Investigation and Legal Action

These developments are part of a broader money laundering investigation being carried out by the federal agency. The arrests mark a significant step in addressing long-standing grievances of homebuyers who have been waiting for possession for nearly 2 decades. Further legal proceedings are expected as the ED deepens its inquiry into the financial operations of the firm.

Read More: Cyber Fraud Costs Indians ₹22,845 Crore in 2024: Government!

Conclusion 

The arrest of Ramprastha's directors highlights the seriousness of financial misconduct in the real estate sector and marks a crucial step toward justice for thousands of homebuyers who have faced prolonged delays and unfulfilled promises.

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